Subcontractor Release Of Liability for Canada

Subcontractor Release Of Liability Template for Canada

This document is a comprehensive legal agreement used in Canadian jurisdictions to formally release a subcontractor from liability related to completed work or services. It provides protection for both the primary contractor and subcontractor by clearly defining the scope of the release, addressing potential claims, and establishing the terms under which the release is granted. The agreement complies with Canadian federal and provincial regulations regarding contractor relationships, workplace safety, and liability provisions, while incorporating specific provincial requirements for construction and professional services contracts.

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What is a Subcontractor Release Of Liability?

The Subcontractor Release of Liability is a critical document used in Canadian business operations when a primary contractor wishes to formally discharge a subcontractor from future liability upon completion of their contracted work. This document is essential when closing out projects or terminating business relationships, providing legal protection for both parties by clearly defining what liabilities are being released and under what conditions. It addresses various aspects including payment confirmation, work completion verification, and potential future claims. The agreement must comply with Canadian federal and provincial laws, particularly in areas of contract law, workplace safety, and industry-specific regulations. It's commonly used in construction, professional services, and other sectors where subcontracting is prevalent, and should be customized based on the specific province's requirements and the nature of the work performed.

What sections should be included in a Subcontractor Release Of Liability?

1. Parties: Identification of the contractor, subcontractor, and any other relevant parties

2. Background: Context of the relationship and circumstances leading to the release

3. Definitions: Key terms used throughout the agreement

4. Scope of Release: Detailed description of what claims, rights, and obligations are being released

5. Consideration: Statement of the value exchanged for the release

6. Representations and Warranties: Statements of fact by both parties regarding their authority and understanding

7. Release Terms: Specific terms of the release including timing and conditions

8. Exceptions to Release: Any claims or rights specifically excluded from the release

9. Indemnification: Obligations to protect against future claims

10. Governing Law: Specification of applicable jurisdiction and laws

11. Entire Agreement: Confirmation that this document represents the complete agreement between parties

12. Execution: Signature blocks and execution requirements

What sections are optional to include in a Subcontractor Release Of Liability?

1. Insurance Provisions: Details of insurance requirements and coverage - include when specific insurance arrangements are part of the release

2. Confidentiality: Provisions for maintaining confidentiality of sensitive information - include when confidential information was shared during the relationship

3. Dispute Resolution: Specific procedures for resolving disputes - include when parties want to specify arbitration or mediation

4. Survival Clauses: Provisions that continue after the release - include when certain obligations should persist

5. Third Party Rights: Provisions affecting rights of third parties - include when other parties might be impacted

6. Return of Property: Requirements for returning materials or equipment - include when physical assets are involved

7. Non-Disparagement: Agreements not to speak negatively about other parties - include in sensitive situations

8. Future Cooperation: Requirements for future assistance or cooperation - include when ongoing interaction may be needed

What schedules should be included in a Subcontractor Release Of Liability?

1. Schedule A - Project Details: Details of the specific project(s) covered by the release

2. Schedule B - Payment History: Record of payments made and confirmation of final payment

3. Schedule C - Released Claims: Detailed list of specific claims being released

4. Schedule D - Retained Rights: Specific listing of any rights retained by either party

5. Appendix 1 - Insurance Certificates: Copies of relevant insurance documentation

6. Appendix 2 - Project Completion Certificate: Documentation confirming completion of work

7. Appendix 3 - Safety Records: Documentation of safety compliance and incident reports if any

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Jurisdiction

Canada

Publisher

Genie AI

Cost

Free to use
Relevant Industries

Construction

Engineering

Information Technology

Professional Services

Manufacturing

Energy

Mining

Infrastructure

Real Estate Development

Telecommunications

Industrial Services

Consulting

Relevant Teams

Legal

Procurement

Operations

Risk Management

Finance

Compliance

Project Management

Contract Administration

Business Development

Construction Management

Relevant Roles

Project Manager

Contract Administrator

Legal Counsel

Risk Manager

Construction Manager

Procurement Manager

Operations Director

Site Supervisor

Chief Financial Officer

Compliance Officer

General Counsel

Project Coordinator

Business Development Manager

Account Manager

Industries
Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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